Survey of Effect of Financial Repression on Inflation at Iran Economy

One of the most important goals of economic policy maker is accessing to low inflation. Accessing to this goal, promote the life standards. For this purpose varied policy is decided. One of these in Iran is financial repression. Financial repression inclusive decreasing at interest rate, increasing at liquidity rate and legal reserve rate. In this essay we analyses effect of financial repression on inflation. To carry out this analysis, we employed vector auto regressive method from 1352 t0 1387, time series data of Iran. The result shows increasing at legal reserve rate, increasing inflation.